Company receives millions for industrial investments
Cemtrex Inc., an advanced security technology and industrial services company based in Brooklyn, announced January 31 that it has received $3.8 million in new orders through its Advanced Industrial Services (“AIS”) subsidiary for two projects, including a $2.2 million order for a geothermal system update for a Northeastern School District, and a $1.6 million order for the fabrication of a key component for a motion control technologies company.
The Northeastern School District project includes, but is not limited to, replacing the geothermal loop system pump and drives, geothermal heat pumps, geothermal piping and valves, heat recovery units, exhaust fans, ductwork, and control systems. Work will be completed in August 2024. For the motion control technologies company fabrication order, AIS will manufacture a key component to the system that the company is delivering. The project is the second installment of this work and will commence in the first quarter of 2024, with production ending by October 2024. Details of the customers were not provided due to confidentiality agreements in place.
“With its expanded capabilities, AIS continues to build profitable revenue growth with additional wins in new government and industrial verticals in a variety of service industries and new geographies,” said Saagar Govil, Chairman and CEO of Cemtrex. “Strong demand for AIS products and services is being driven by the need to update water systems and services and will continue to grow as government and companies across the country work to upgrade their facilities. As a premier provider of industrial contracting services including fabrication, millwrighting, rigging, piping, electrical and welding, AIS is also capturing high value projects with industry leaders.
“Taken together, this demand delivered an 18% increase in revenues for AIS and our Industrial Services segment in FY’23 to $25.0 million. The escalating need for industrial services is driving the market towards $45.3 billion in 2028, growing at a CAGR of 5.53%, according to Verified Market Research. With older water and other systems needing replacement, AIS is benefiting from the $81 billion annual water infrastructure capital investment gap, according to the American Society of Civil Engineers Infrastructure Report Card. We also believe that continued reshoring of manufacturing to the US as well investments in US infrastructure will play a key role in AIS’ long-term growth. With AIS’s 35 years of experience and leading products and services, we expect additional AIS orders ahead and increasing momentum, with the potential to reach 32% revenue growth in FY’24,” concluded Govil.